Finland joins coalition aiming to end export finance of fossil fuels

Finland joined the Export Finance for Future coalition (E3F) at its meeting on 24 November 2021. The E3F is part of the strategy work to combat global warming. It allocates funding to sustainable projects and defines the most suitable measures for phasing out export finance in projects that are not in line with sustainable development.

The strategy is based on the coalition’s statement of principles, which the original signatories, Denmark, France, Germany, Spain, Sweden, the Netherlands and United Kingdom, signed in spring 2021. Finland, Belgium and Italy joined the coalition at a conference held today.

The declaration recognises the importance of trade and export finance in promoting climate neutrality and sustainable projects and ensures that finance policies of member countries are aligned with the Paris Agreement on climate change. The aim is to support the national and international transformation of the export economy and to promote the development of common international standards. By signing the declaration, the countries commit to concrete measures to discontinue export finance in projects that do not support climate objectives.

“Finland’s ambitious target is to be carbon neutral by 2035. In Glasgow, we signed the COP26 declaration on international public support for the clean energy transition. We are now very pleased to join the E3F coalition and the declaration of its second summit,” said Jukka Ihanus, State Secretary to Minister of Economic Affairs Mika Lintilä, who represented Finland at the E3F meeting.

“The E3F is a welcome initiative that allows us to engage in closer discussion on climate and export finance. We hope that this will lead to a wider debate within the OECD, which would create common rules for finance. It is clear that the climate dimensions of export finance must be addressed from different perspectives, including incentives for green finance measures and reporting,” Ihanus said.

The coalition’s meeting held today focused on the results of the Glasgow Climate Change Conference, in particular, the declaration on international support for the clean energy transition. The signatories pledge to end public support for trade and export finance of fossil fuels by the end of 2022, with certain exceptions. 

A new objective was added to the declaration issued in the spring. According to it, member countries commit themselves to allocating funding to sustainable projects and to defining the most suitable ways nationally to end export finance in projects not in line with sustainable development.

Inquiries:
Inkalotta Nuotio-Osazee, Senior Ministerial Adviser, Ministry of Economic Affairs and Employment, tel. +358 50 505 6277 
Nathalie Dahl, Senior Specialist, Ministry of Economic Affairs and Employment, tel. +358 50 437 0761